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Non-Tech : Auric Goldfinger's Short List -- Ignore unavailable to you. Want to Upgrade?

To: Ashley800 who wrote (5905)	8/23/2000 7:41:43 PM
From: ScamSeeker	Respond to of 19428

RE: BIFS Here is a copy and paste from Raging Bull. Some "longs' here seem to feel that this stock is something of a golden goose. Nothing could be farther from the truth. In fact, it is running the course of your average speculative penny stock that got way ahead of itself and is now retreating to a more sensible level -- say, 10 cents. (1) Valuation. In its recent 10QSB filing, BIFS reported revenues of $166,432 with losses of $832,239 and assets of $1,139,225, including $860,099 in cash. This was for the first six months of the year. Taking the 500,000,000 share float and todays' price of about 80 cents, we have a valuation of $400,000,000 for the company. Ladies and gentlemen, you simply cannot support such an extreme valuation on the basis of these finances! This implies a Price-to-Sales of 1201 ($400,000,000 / [$166,432 * 2].) I have made this point here a number of times and have been consistently ignored. And how about cash burn rate? What do the above figures suggest about the viability of BIFS over the next 12 months? edgar-online.com (Free log-in required) 2. Technology. There is nothing unique about BIFS' technology. Take a look at this company: telxon.com They are also publicly traded but sport a price-to-sales of only .92 (as in point 92)! biz.yahoo.com If BIFS were valued similarly, it would be worth less than a penny! What makes BIFS so unique? Certainly not its "SWOMI" technology! 3. Patents. The wireless LAN concept has been patented elsewhere. 164.195.100.11 Type in "6091951" in the search window. That is Telxon's patent. You might have noticed from Telxon's web site that, contrary to BIFS' unvalued contracts with local hotels and motels, Telxon recently announced a big, multi-million dollar contract with Target Corporation. telxon.com Why doesn't Biofiltration Systems detail the income from its projects? Answer: Because it knows that such modest income cannot justify the company's current market capitalization. 4. Deicing. According to its own web site, Biofiltration Systems has held its patent on an environmentally-friendly deicing process since 1993, but in all these years has been unable to find a way to build a business from this patent. Why should we believe that BIFS will be able to create a viable business model from its wireless LAN concept? biofiltrationsystems.com 5. Infrastructure. Wireless LAN is of limited application. In coming years wireless broadband will become just as fast and ubiquitous. How is it that wireless LAN will see widespread deployment in the face of such competition? Who will rent wireless LAN access when their existing cellular phones give them equal access and performance? The infrastructure costs of deploying such systems are immense. How is BIFS supposed to compete with far larger companies with far deeper pockets when the technology can easily be acquired from competitors? 6. Penny stocks. These issues have a long, ignoble history of stealing money out of the pockets of investors. sonic.net It's hard to blame people for wanting to get rich, but for the most part these issues are extremely unreliable, volatile, and for the most part never amount to anything. The few that do take years to demonstrate their worth. And BIFS isn't even OTC! 7. ISP. In reality, BeachAccess.net is little more than an ISP. Just as ISPs are slowing being replaced by free Internet access (and, shortly, free DSL), so will Beach Access.net find its position eroded as fast wireless access becomes ubiquitous. Examine the financials of Interliant Corporation or Verio Corporation to see what the ISP model means financially. edgar-online.com (Free log-in required) edgar-online.com (Free log-in required) 8. Weakness of longs. The disastrous collapse of BIFS last week should have been a warning to all about how shaky the "long" interest is here. That's easy to understand: With 500,000,000 issued shares, the price is easily manipulated, and there's just too much paper on this issue. Beyond that, it's worth noting that even BIFS "longs" on this board have found it necessary to stop their ears and not listen to anything that decreases their confidence in BIFS. This is a sure sign of weakness. Here's a series of charts that should give anyone pause about putting money in penny stocks: finance.yahoo.com 9. Better options. There are many great, early-stage Internet infrastructure companies with great revenue growth, solid earnings, and widespread institutional support that make excellent investments in the ongoing build-out of connectivity. I won't mention these because BIFS longs will repeat a common lie here: That BIFS bears are paid bashers. Nothing could be further from the truth, yet folks on this board continue to repeat this lie because it gives them confidence that BIFS detractors have no point to make. ***** I have no beef with BIFS longs. I wish everyone the best in making great profits from their investments. But a friend of mine pointed this issue out to me to research, and I was gravely disappointed. I also find the attitude of BIFS longs here typically very arrogant. I have done my DD and come up with my conclusions, and these I post here much as anyone else would post the results of their investigation. Scream and rant and decry as you will, but these facts demonstrate that BIFS stock is little more than worthless paper.